Sewer Surcharge - 2020 Budget and Four Year Forecast (2021 - 2024) Forecast Based on Amended Rates @ January 1, 2020
| 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | |
|---|---|---|---|---|---|---|
| PUBLIC WORKS EXPENDITURES | Final Budget ($) | Forecast ($) | Forecast ($) | Forecast ($) | Forecast ($) | Forecast ($) |
| POLLUTION CONTROL | ||||||
| Treatment Plants & Pump Stations 15,906,648 | 16,108,936 | 16,592,204 | 17,089,970 | 17,602,669 | 18,130,749 | |
| Depreciation (Transfer To Reserves for Equipment Replacement) 4,867,745 | 4,867,745 | 4,867,745 | 4,867,745 | 4,867,745 | 4,867,745 | |
| 20,774,393 | 20,976,681 | 21,459,949 | 21,957,715 | 22,470,414 | 22,998,494 | |
| SEWER MAINTENANCE & REPAIR | ||||||
| PW - Operations 6,138,355 | 6,312,552 | 6,501,929 | 6,696,986 | 6,897,896 | 7,104,833 | |
| PW - Environmental Services 1,713,184 | 1,732,868 | 1,784,854 | 1,838,400 | 1,893,552 | 1,950,358 | |
| PW - Engineering & Corporate Projects 255,363 | 305,565 | 314,732 | 324,174 | 333,899 | 343,916 | |
| PW - Administration 183,281 | 194,412 | 200,244 | 206,252 | 212,439 | 218,812 | |
| 8,290,183 | 8,545,397 | 8,801,759 | 9,065,812 | 9,337,786 | 9,617,920 | |
| Total Public Works Operating Budget Expenditures 29,064,576 | 29,522,078 | 30,261,708 | 31,023,527 | 31,808,200 | 32,616,414 | |
| Total Public Works Capital Expenditures 21,600,000 | 21,600,000 | 21,600,000 | 21,600,000 | 21,600,000 | 21,600,000 | |
| Baseline Funding Inflation 1,000,000 | 2,000,000 | 3,000,000 | 4,000,000 | 5,000,000 | 5,000,000 | |
| Basement Flooding Subsidy 2,587,751 | 2,587,751 | 2,587,751 | 2,587,751 | 2,587,751 | 2,587,751 | |
| Enhanced Sewer Master Plan Projects 6,000,000 | 11,000,000 | 11,000,000 | 11,000,000 | 11,000,000 | 11,000,000 | |
| TOTAL PUBLIC WORKS EXPENDITURES 60,252,327 | 66,709,829 | 68,449,459 | 70,211,278 | 71,995,951 | 72,804,165 | |
| OTHER EXPENDITURES | ||||||
| Debt Servicing Costs - LRWRP 20 Year Debenture | 2,565,079 | 2,565,079 | 2,565,079 | 2,565,079 | 2,565,079 | 2,565,079 |
| ENWIN Administration Fee / WRAP Funding | 2,865,158 | 2,523,130 | 2,598,824 | 2,676,789 | 2,757,092 | 2,839,805 |
| Overhead Allocation (Transfer to Current) | 4,216,660 | 4,669,688 | 4,791,462 | 4,914,789 | 5,039,717 | 5,096,292 |
| Appeal Refunds & General Expenses | 600,000 | 350,000 | 350,000 | 350,000 | 350,000 | 350,000 |
| TOTAL OTHER EXPENDITURES | 10,246,897 | 10,107,897 | 10,305,365 | 10,506,657 | 10,711,888 | 10,851,176 |
| TOTAL OF ALL EXPENDITURES | 70,499,224 | 76,817,726 | 78,754,824 | 80,717,935 | 82,707,839 | 83,655,341 |
| SURCHARGE REVENUES | 70,326,053 | 76,817,726 | 78,754,824 | 80,717,935 | 82,707,839 | 83,655,341 |
| NET CHANGE IN SEWER SURCHARGE * | -173,171 | - | - | - | - | - |
| OPERATING FUND #28 | ||||||
| PROJECTED CUMULATIVE BALANCE OF SEWER SURCHARGE | ||||||
| RESERVE FUND #153, NET OF ENCUMBRANCES | 1,254,778 | 1,254,778 | 1,254,778 | 1,254,778 | 1,254,778 | 1,254,778 |
NOTES:
- A - Assumes general expenditures increase at a rate of 3.0% per annum (2020-2024) for inflation.
- B - Overhead expenditure allocation based on 7% of total Public Works expenditures for 2020-2024.
- C - Revenues are based on 2020 water meter and consumption projections received from WUC staff. It should be noted that the City is spreading out WUC's projected volume decline for 2020 over a five-year period, from 2020 to 2024.
- D - The typical residential customer will see a (0.56)% decrease to their monthly bill for 2020 when compared to 2019.
- E - The chart above is meant to reflect the net wastewater expenditures funded by the sewer surcharge. Therefore, expenditures and revenues in the chart exclude approximately $2.5 million in expenses funded directly by billings to the towns of Lasalle & Tecumseh.
It should be stressed that both the Windsor Utility Commission's water consumption and Public Works' expenditure figures are projections. As with all projections, they are based on a number of variables and assumptions that, if not achieved, may materially impact the results of this model. This is especially true for longer term projections such as this.
* Subsequent to Council approval of the budget, adjustments are made to account for various corporate entries. In 2019, sewer surcharge related expenses were adjusted by $14,328 and revenues were adjusted $158,843 as a result of further corporate budget adjustments. These minor adjustments are housekeeping items that are a regular part of the budget process. The net impact of ($173,171) reflected in the 2019 Final Budget has been carried forward and incorporated into the development of the 2020 Sewer Surcharge Budget.